What each generation really thinks about retirement

How we think about pensions and retirement changes over time. To explore how attitudes differ by age, we spoke to people across the UK aged 18 to 80 to capture their thoughts on retirement, the challenges they face, and how they’re planning for the future.

Our findings reveal that each generation has its own perspective. But, before we look at what sets them apart, there are some shared concerns felt across all ages.

Uncertainty about the future

83% of UK adults say that the world feels less certain than it did just a few years ago. That uncertainty is shaping how people think about their money – particularly when it comes to pension investment risk.

Almost one in four people (23%) say they’d rather keep their money in cash than invest at all. While this might feel safer in uncertain times, it could mean missing out on potential long-term growth. 

A lack of adequate planning

While many people understand the current State Pension age, retirement planning is often pushed down the priority list. Almost a third of those we surveyed (29%) say they’ve done no planning at all. 

Yet planning and financial confidence go hand in hand. People who say they’ve even done “a little” retirement planning are more likely to feel positive about their finances than those who haven’t started at all.

Misconceptions about auto-enrolment

Across all age groups, many people assume that being automatically enrolled into a workplace pension means they’re saving enough for retirement. 

In reality, the minimum auto-enrolment contribution of 8% of annual earnings may not be enough on its own for most people to achieve a comfortable standard of living in later life.

What sets each generation apart?

Gen Z (aged 18-28)

Gen Z are the most optimistic generation we surveyed. Their confidence and willingness to invest could work in their favour over the long term – but only if it’s matched with informed decision making.
People aged 18-28 are the most likely to believe they’ll retire early and that their children will enjoy a higher standard of living in retirement, suggesting a confident future financial outlook.

However, some of this optimism may be misplaced; Gen Z are the least informed about auto-enrolment, with 61% wrongly assuming that being automatically enrolled in a workplace pension scheme means they’re already saving enough for retirement.

This generation also has the highest appetite for risk. Nearly half (48%) say they’re willing to take more risk for the chance of higher returns, and they’re the most likely generation to have moved their pension into a higher-risk investment profile.

With time on their side, this confidence could pay off. But there are potential downsides. Gen Z are far more likely than other generations to have invested in cryptocurrency – a potentially higher-risk choice compared to other investment options – and 22% also said they use social media as a source of retirement planning information. This could expose them to unregulated or unsuitable advice.

Turning to trusted sources like GOV.UK and MoneyHelper, reviewing their contribution levels, and taking a balanced approach to risk could help younger people build a stronger foundation for the future.

Millennials (aged 29-44)

With mortgages, childcare costs and everyday bills to manage, pension savings might not be high on the agenda for Millennials. But greater engagement now could significantly improve their financial future. 

More than any other generation, Millennials worry about the cost of living. Nearly half are homeowners (46%), and over half are raising children under the age of 18 (57%). While Gen Z expect to retire early, Millennials are perhaps more realistic. On average, they expect to retire six years later than they’d like. 

This realism may be contributing to lower engagement. Over a third (37%) say they’ve done no retirement planning at all. That said, Millennials are getting some things right. They’re more likely than other generations to have a defined contribution workplace pension, meaning they make regular payments towards their retirement. They also tend to seek retirement planning information from a wide range of sources, which can help to support better decision making.

For Millennials, even small actions – such as increasing contributions slightly or reviewing investment risk – can make a meaningful difference over time. And as the research shows, doing even a little planning can improve confidence today, not just outcomes tomorrow.

Gen X (aged 45-60)

Despite being closer to retirement, Gen X often feels the least confident about the future.

They are the most likely generation to talk about pensions, with 40% discussing retirement with friends or family in the last year. However, conversation doesn’t always translate into action. Nearly 3 in 10 (29%) Gen X respondents say they’ve done no retirement planning. This may explain why many in this age group feel pessimistic about the future; around half believe their future standard of living will be worse than their parents’, and over a third (35%) think their children will be worse off too.

Like Millennials, people aged 45 to 60 are likely to regularly save into a pension fund – many have either a direct contribution (DC) or a defined benefit (DB) pension (and some have both). This suggests that many Gen Xers will have some solid foundations already in place for the future.

So while Gen X has a less positive outlook than other generations, reviewing contributions, checking investments, and seeking professional advice could help this generation regain a sense of control and confidence as retirement approaches.

Baby Boomers (aged 61-80)

Many Baby Boomers are already retired – and their experiences offer valuable lessons.
More than a third describe themselves as living comfortably on their current income, while a notable one in five who have already retired wish they’d planned for their retirement more thoroughly. 

A further 20% say they needed more money in retirement than they had realised, and 19% said they will be retired for longer than they had first thought - showing the importance of planning ahead. 

Planning can improve confidence at any age. There are still plenty of things we can do into our 50s and early 60s to make a difference in retirement. Any steps we take – even small changes – can make a big difference. 

What’s next?

If you’re feeling uncertain or your pension savings aren’t where you’d like them to be, don’t panic - support is available. And even if you feel on track, it’s important to review your pension regularly to make sure you’re still comfortable with how your savings are performing.

To get an idea of what your pension could provide in the future, try using our pension calculator. 

MoneyHelper offers free, impartial guidance on money and pensions. If you’re aged 50 or over and want to learn more about accessing your pension, Pension Wise  - part of MoneyHelper - can help you understand your options.

It can also be helpful to speak to a financial adviser, who can talk things through with you and help you decide what’s right for your situation.

id

The information here is based on our understanding in May 2026 and shouldn’t be taken as financial advice.

A pension plan is an investment. Its value can go down as well as up and could be worth less than was paid in.

Your own personal circumstances, including where you live in the UK, will have an impact on the tax you pay. Laws and tax rules may change in the future.

Standard Life accepts no responsibility for information on external websites. These are provided for general information.